‘Crash Tax’ and Other Fees Target Out-of-Towners

Cash-strapped local governments in Michigan are increasingly looking to out-of-towners to help pay the bills for police and fire services.

A number of towns have started collecting accident response fees from out-of-town motorists who cause crashes.

Local governments say it’s an attempt to recoup the costs of services that visitors use but otherwise wouldn’t have to help pay for.

Critics call the charges “crash taxes” and say they amount to a back-door way of collecting more revenue.

The Detroit suburb of Fraser began collecting the fees this year, charging $57.15 per hour for police time spent at an accident.

But other municipalities are dropping their accident fees, deciding they don’t earn enough and are more trouble than they’re worth.